Correlation Between GACM Technologies and Page Industries
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By analyzing existing cross correlation between GACM Technologies Limited and Page Industries Limited, you can compare the effects of market volatilities on GACM Technologies and Page Industries and check how they will diversify away market risk if combined in the same portfolio for a given time horizon. You can also utilize pair trading strategies of matching a long position in GACM Technologies with a short position of Page Industries. Check out your portfolio center. Please also check ongoing floating volatility patterns of GACM Technologies and Page Industries.
Diversification Opportunities for GACM Technologies and Page Industries
-0.45 | Correlation Coefficient |
Very good diversification
The 3 months correlation between GACM and Page is -0.45. Overlapping area represents the amount of risk that can be diversified away by holding GACM Technologies Limited and Page Industries Limited in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Page Industries and GACM Technologies is a relative statistical measure of the degree to which these equity instruments tend to move together. The correlation coefficient measures the extent to which returns on GACM Technologies Limited are associated (or correlated) with Page Industries. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Page Industries has no effect on the direction of GACM Technologies i.e., GACM Technologies and Page Industries go up and down completely randomly.
Pair Corralation between GACM Technologies and Page Industries
Assuming the 90 days trading horizon GACM Technologies Limited is expected to under-perform the Page Industries. In addition to that, GACM Technologies is 2.06 times more volatile than Page Industries Limited. It trades about -0.15 of its total potential returns per unit of risk. Page Industries Limited is currently generating about 0.1 per unit of volatility. If you would invest 4,302,485 in Page Industries Limited on September 12, 2024 and sell it today you would earn a total of 403,505 from holding Page Industries Limited or generate 9.38% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
GACM Technologies Limited vs. Page Industries Limited
Performance |
| Timeline |
| GACM Technologies |
| Page Industries |
GACM Technologies and Page Industries Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with GACM Technologies and Page Industries
The main advantage of trading using opposite GACM Technologies and Page Industries positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if GACM Technologies position performs unexpectedly, Page Industries can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Page Industries will offset losses from the drop in Page Industries' long position.| GACM Technologies vs. Arrow Greentech Limited | GACM Technologies vs. Sonata Software Limited | GACM Technologies vs. Orient Technologies Limited | GACM Technologies vs. VA Tech Wabag |
| Page Industries vs. Hi Tech Pipes Limited | Page Industries vs. Tamilnadu Telecommunication Limited | Page Industries vs. Shaily Engineering Plastics | Page Industries vs. Hemisphere Properties India |
Check out your portfolio center.Note that this page's information should be used as a complementary analysis to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Stocks Directory module to find actively traded stocks across global markets.
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